Ecommerce businesses must navigate a complex landscape of sophisticated fraud, as fraudulent activity gets increasingly automated and difficult to detect. From account takeovers to carding cracking, it’s important to be familiar with the 6 main types of ecommerce fraud in order to recognize the warning signs before their effects become irreversible.
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CNP, or card not present, is a type of credit card fraud that literally means the card is not physically presented to the merchant at the time of its use. It generally occurs when scammers obtain credit card details illegally and use them to make purchases online or over the phone, and is precisely why credit card holders keep their card information to themselves.
Gift card fraud involves using stolen credit card details to purchase gift cards. Part of the reason gift card fraud is popular among scammers is its anonymity. By using credit card information to purchase a gift card, a fraudster essentially keeps stolen cash without having spent it.
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Credit card testing can be difficult to stop without adding additional hurdles to your payment process. Learn what technologies are available to protect your site from payment fraud.